European aircraft giant Airbus posted record profits in 2021, after two years of losses during the Covid pandemic. As a result, the company has restarted offering a dividend to shareholders.
"2021 was a year of transition, where our attention shifted from navigating the pandemic towards recovery and growth," Airbus chief executive Guillaume Faury said in the earning statement.
Net profit rose to a historic 4.2 billion euros in 2021, nearly tripling from 1.706 billion euros the year before - a massive swing back from its grim results during the pandemic.
For the first time in two years, the company will offer a dividend, of 1.5 euros per share.
Cargo plane increases
The company delivered 611 commercial aircraft in 2021, an eight percent increase from 2020, and it fielded 507 orders, almost double from 2020, including the first of its new A350 freighter.
Freight has emerged as a strategy for airlines to keep afloat, with passenger travel dropping during the pandemic.
Last week Singapore Airlines on finalised an order for seven A350s, while Etihad Airways placed a provisional order for seven at the Singapore Airshow.
The orders drove the record profits, though currency exchange rates also contributed, the company said. Operational profits also increased with the end of the A380 programme, though costs increased with the A400M military transport programme.
‘No further disruptions’
"As the basis for its 2022 guidance, the Company assumes no further disruptions to the world economy, air traffic, the Company's internal operations, and its ability to deliver products and services," Airbus said.
In a sign the company sees its fortunes turning, it expects to recruit at least 6,000 people this year, after announcing 15,000 job cuts during the pandemic (with a final cut of 10,000).
Airbus predicts 5.5 billion euros in core profit in 2022, and said it is targeting 720 commercial aircraft deliveries, reaffirming plans to increase production of its best-selling A320neo family of aircraft.
(with wires)
